Balfour Beatty the infrastructure firm who are behind Crossrail has posted full-year rising profits, under new boss, Leo Quinn as he has gathered momentum in turning the firm around.
The FTSE 250-listed company reported a 5% increase in pre-tax profits to £123m in 2018, revenues sipped by 5% to £7.8m due to the group cutting back on less profitable work.
Balfour Beatty said a “higher quality” order book with the UK and US construction arms reporting underlying margin growth in line with industry standards, the order book increased by 11% to £12.6bn.
Construction profit soared 32% and gross debt has been reduced by over 40%, as the group repaid £231m in convertible bonds.
Quinn said, “These results demonstrate the value being created through Build to Last. We continue to strengthen the group and meet our targets.
“The businesses are back at industry standard margins, underpinned by a strong balance sheet and asset base.
“But Balfour Beatty’s transformation goes well beyond resolving the issues of forced growth.
“We have relentlessly invested in capability and leadership to forge a culture which provides sustainable competitive advantage through standardisation of our systems and processes, on a reducing overhead base.”
Balfour are confident of performing inline with market expectations for 2019, share were up in early morning trade at 287p.